On 12 June, Micron announced its intention to increase investment into US chip production by US$127Bn, taking the total to US$200Bn.

The expansion will allocate US$150Bn towards domestic memory manufacturing and US$50Bn for research and development. Additionally, an extra US$30Bn, on top of initial plans, will fund the construction of a second memory fabrication facility in Boise, Idaho.

Micron received US$6.4Bn in grants from the USA under the CHIPS and Science Act of 2022. Of these funds, US$4.6Bn was allocated for the construction of a DRAM facility in Clay, New York, while US$1.5Bn will be used for another dynamic random-access memory (DRAM) facility in Boise, Idaho.

Finally, US$275M has been allocated for the modernization of its Manassas facility. Micron anticipates that all of its US investments will qualify for the Advanced Manufacturing Investment Credit (AMIC). This credit covers 25% of the qualifying investment for the taxable year, in addition to the US$6.4Bn received under the CHIPS and Science Act.

Micron's investment in the US semiconductor sector will enable it to produce 40% of its DRAM domestically, thereby reinforcing the country’s position in the global semiconductor market. This expansion in DRAM capabilities will also help to strengthen national security by onshoring and boosting domestic production, thus reducing reliance on foreign suppliers.

However, the USA’s raw material supply may require further support. While the USA is actively expanding semiconductor-grade polysilicon capacity, highlighted by the US Department of Commerce’s decision to award US-owned polysilicon producer Hemlock Semiconductor (HSC) up to US$325M in direct funding under the CHIPS and Science Act to expand domestic semiconductor-grade polysilicon production, its reliance on foreign partners for other key materials remains.

Nevertheless, the USA is dependent on foreign partners for the efficient production of gallium and germanium metal, both crucial for semiconductors, as well as primary tantalum, used in both semiconductors and capacitors.